Homestead Exemption, the Final Word

In 1998, In re McFadyen, a Bankruptcy Court decision in the Middle District of Florida, held that a Federal Tax Lien is enforceable against Homestead property in the State of Florida.

There are three exceptions to the Florida Homestead Exemption, in which a Creditor can force the sale of a Homestead, according to the Florida Supreme Court in the case of Havoco of America, Ltd v. Hill:

  1. Payment of taxes and assessments on the Homestead;
  2. Obligations contracted for the purchase, improvement or repair of the Homestead;
  3. Obligations contracted for house, field or other labor performed on the property.



The Court in Havoco held that a Debtor’s use of funds in order to avoid his Creditor, was not one of the exceptions to the protections of the Homestead Exception, as determined in the Florida State Constitution, and therefore, not a basis to void the Homestead Exemption, as claimed by the Debtor, in that case.


Jay Weller is an Attorney who has represented over 40,000 persons in Bankruptcy Proceedings, and has helped many thousand more escape the burdens of Debt through the many non Bankruptcy Programs offered by himself and Weller Legal Group, PA. Weller Legal Group has offices serving Pinellas, Pasco and Polk Counties, and located centrally in Clearwater, Port Richey, and Lakeland. Jay Weller may be reached for a Free Consultation at 1-800-407-3328 (DEBT).